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Black boxes can help older drivers save money too

Black box insurance is generally praised for helping young drivers save money on their car insurance premiums. However, it could also help older drivers save money too.

Older motorists facing high car insurance charges because of their age could reduce their premium prices thanks to black box technology.

Known as telematics insurance, it involves a small device being fitted to your car to monitor how you drive.

Traditionally, car insurance premiums are priced according to 'risk' factors such as your age and where you live. Black box policies are different – priced according to driving style, mileage, time of travel and preferred routes.

Research shows that drivers behind the wheel of a car fitted with a black box tend to drive more carefully. In return, they are rewarded with cheaper insurance policies.

Telematics insurance has been a popular option among younger drivers looking to bring down the high costs of insuring a car because of their age. However, they have proved less popular with older drivers. One in ten drivers aged 35-54 has a telematics policy, while among drivers aged 55+ that proportion is just one in 20.

One reason for this could be that older drivers are not aware of telematics insurance. According to analysis carried out by This is Money, typically half as many black box deals are offered to drivers aged over 55 years compared to drivers in their early 20s.

According to experts, black box policies could help put an end to unfairly high premiums for older drivers.

Rather than putting older drivers into a high-risk category based on their age, black boxes could mean older drivers can use their driving data to prove they are still safe behind the wheel.